Thursday, April 22, 2010

OSI Systems (OSIS)

Quick note:  OSIS reports earnings on 4/26.  Earlier under Market Digest thread I mentioned today 1400 calls have traded vs. only 30 puts. Call volume is 5x daily average. 93% calls bought offer side. IV spiking by 26%. Biggest blocks came in at May $30 calls paying $0.90. There is frequent buyout chatter in this name. 


Strictly following the unusual activity, I am buying the following call spread in June:


- Buy to open June $30 calls
- Sell to open June $35 calls


I just filled the order for average price of $1.20.  


Good luck!